Sales and Marketing Strategies for Tesco: Report on Current Trends

This report examines the sales and marketing strategies of Tesco, a leading UK supermarket chain, focusing on their use of technology, particularly the internet and social media, to improve relationship marketing and promote products. It analyzes Tesco's marketing mix, including product, price, ...Read More

Sales and Marketing
Module

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................4
Role of current technologies (like the internet and social media) in improving relationship
marketing within organisation ...............................................................................................4
Marketing mix for its products and services..........................................................................5
Assess the concepts of segmentation, targeting and positioning specific to a product or service
................................................................................................................................................6
Targeted audience and how to expand the business...............................................................8
Some recommendation.........................................................................................................11
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
This report revolves around the importance of sales and marketing in the success of any
organisation and how it helps organisation in achieving the maximum efficiency and makes the
organisation successful and effective. These days market competition between organisation is
very fierce and intense and in order to achieve competitor advantage over competitor
organisation focuses on utilising the resources effectively and efficiently and also organisation
focuses on promoting their products aggressively as it helps organisation in promoting their
products and it also helps organisation in spreading the awareness about their products among
the consumers. This report revolves around the Tesco which is the largest and leading
supermarket chain in the UK and how the sales and marketing strategies helping them in
achieving their goals and objectives (Choi, Ludwig and Harris, 2020). This report also focuses
on the importance of the technology in promoting the products of the organisation and how the
technology is helping organisation in boosting their profits and helping in expanding their
business. Tesco is one of the leading supermarket chain in the UK and it is possible through their
effective implementation of the strategies and in the current scenario due to COVID-19 digital
technology helped organisation in promoting it's products and serving products to their
consumers. This report involves their innovation in strategies of reaching out to consumers by
providing them products by taking online orders and focusing on delivering products by
initiating contactless delivery. TESCO focuses on introducing quick pay system which assist
consumer in making transaction for their order on their online portal and it is also an effective
method in COVID-19 scenario as it reduces the danger of spreading infection.

MAIN BODY
Role of current technologies (like the internet and social media) in improving relationship
marketing within organisation
This part of the report focuses on the importance of the social media and it's impact on
the organisation business in current scenario. Social media plays a vital role in spreading the
awareness about the products and also helps in promoting their product range and creating the
goodwill among the consumers. This part of the report focuses on the technologies which is
helping organisation and how it can create a image among the consumers which can help
organisation to boost it's profits and expand their business. Organisation uses social media as one
of their weapons in order to do marketing of their products and it also helps in showcasing their
products to the consumers (Dewsnap and et. al., 2020). Internet in current scenario is considered
as important part of every person daily lives as it assists people in different work and also helps
in finding and exploring new things. Social media marketing is also a technique which is
commonly used by the organisation and in order to promote their products, marketing is
considered as one of the important part in the success of any new product. These days there are
products which are very similar in attributes but in order to be different and successful in the
market organisation uses different marketing strategies and techniques to attract consumers
towards their product (Genchev and Todorova, 2017). Organisation focuses on promoting the
product before launching because it creates buzz and excitement among the consumers and it
also helps organisation in motivating them to buy the products. Effective marketing helps in
promoting the attributes of the product which attracts consumers. These days organisation
records the feedbacks of the consumer by promoting them and online which helps organisation to
understand the needs and wants and what changes should be made in the product which satisfies
consumers. Every organisation wants to satisfies their consumer as it would help them in
retaining their consumers because consumer retention helps in boosting the profits and creating
the goodwill among the market. Consumer retention is also important in gaining the competitive
advantage over the competitors. Recent market trends shows that many organisation uses social
media to promote their products as it would help them in understanding the needs of the
consumers and encourages them to innovate their products. Tesco is one of the organisation
which is leading the market of supermarket chains in the UK and this possible due to their

effective marketing strategies and monitoring the feedback of the consumers which helps them in
understanding the needs and wants of the consumers and also helps in designing their product
range according to the needs and wants. Tesco provides products which helps them in satisfying
their consumers and creating the goodwill among the consumers (Hetényi, 2020). It's
effectiveness can be determined in such a way that among this pandemic organisation managed
to grow their sales in positive numbers and delivering the products to the consumers through
their online portal and encouraging the contactless delivery in order to minimize the risk of
spreading the virus. Tesco provides product to their consumers by the the help of online portal
which helps them in understanding the needs and wants of the consumers. Organisation uses the
social media as their weapon amid this pandemic to promote it's products because it helps in
delivering and understanding the need of the consumers and also social media used to create the
awareness about the products and services. Tesco focuses on the consumer satisfaction as it
helps them in the retention and helps in designing the product line according to the consumers.
The data obtained by the organisation through feedbacks helps in understanding the needs and
the quality which is needed by the consumers and how organisation can deliver quality products
to it's consumers. It is important for the managers of Tesco to carefully analyse the data because
on the basis of that data managers have to formulate and implement the strategies and they have
to make sure that the resources utilised during the formulation and implementation should be
used effectively and efficiently (Howlett, 2019.). Organisation also focuses on the data which is
collected should be analysed effectively as it would helps them in analysing the needs of the
consumers and also helps them in providing products to their consumers which will help Tesco
in expanding their market share and it will also contributes in the growth of the organisation and
boosting the profits of the organisation.
Marketing mix for its products and services
TESCO which focuses on implementing new services related with delivering products to
consumers at their doorstep. TESCO focuses on providing products to their consumer by online
shopping and making contactless delivery to their consumers. Marketing mix of their products
and services is mentioned below:

Product
TESCO focuses on delivering quality products and services which help in reaching out to their
consumers and also focuses on providing grocery products according to need and preference of
consumers.
Price
TESCO focuses on providing products at affordable prices for their consumers and focuses on
providing wide range of options in products which belongs in different price range and it makes
easy for consumers to choose products according to their affordability.
Place
TESCO focuses on opening their stores at different places which helps them in reaching out to
more consumers and which help them in boosting their revenues and help in maximizing their
consumer base in market.
Promotion
TESCO focuses on implementation of effective promotional strategies as it help them in
reaching out to their consumers and help them in creating awareness about their products and
services among consumers and also help consumers in understanding about products and
services of TESCO.
Assess the concepts of segmentation, targeting and positioning specific to a product or service
This part of report focuses on the segmentation by the organisation and how the targeting
and positioning helps organisation in boosting it's profits and also in increasing the capital and
capturing the market share. Segmentation of the products helps organisation in understanding the
segment in which product should be launched and how the product can help them in targetting
the new segment and what attributes should be included in the product which can help the
organisation in target the segment which is desired by the organisation. Segmentation is defined
as the targetting the specific market segment which can help them in expanding and by which
organisation have the scope to grow and make their product successful and effective in that
segment. Organisation focuses on segmenting the products according to the need of the market
and after analysing the trends in the market organisation launches their products in the market.
Effective segmentation helps organisation in achieving the goals and objectives set by the
managers and top level people in order to maximize the productivity of the organisation. It is
also important that segmentation is after analysing the competition in the market as it would

helps organisation in setting the goals and objectives for the organisation (Johnson and Matthes,
2018). Segmentation helps the organisation product to make the profits because launching the
products in the suitable segment gives upper hand to the organisation in achieving the
competitive advantage over their competitors. Segmentation, targetting and positioning helps
organisation in targetting the suitable consumers for their products as it would helps the
organisation in boosting their profits and designing the products according to the needs of the
consumers because the needs and wants can help organisation in designing the suitable products
for their consumers because in every segment there are different consumer needs and wants and
in order to satisfy the consumers organisation have to design the products. Organisation have to
make sure that the segment in which they are launching the product should be analysed and after
that the product should be launched.
Organisation which targets the segment according to the consumers have more chances to be
effective and it helps them in understanding the market trends and targetting the consumers
according to the needs. Organisation makes sure that product should satisfy their consumers as it
would help them in the retention of consumers and attracting the new consumers. Segmentation,
targetting and positioning is considered as the crucial framework before launching any product
because it helps in understanding the potential of the market and how it is going to help
organisation in boosting it's profits and expanding the market share of the organisation. Tesco is
one of the leading organisation which provides groceries and other products and services to the

consumers and in order to be effective and efficient they makes sure that the products should be
provided according to the needs and wants of the consumers (Madhani, 2017.). Tesco focuses on
every segment of the consumers and organisation makes sure that the products which are offered
are suitable for the consumers and satisfying their needs and wants. Organisation like Tesco
always analyses the market and after that make the strategies in order to introduce it's product
and to understand the market and understand the needs and wants of the consumers and position
the product in the market to maximize it's productivity. It is always important for the
organisation to understand the market trends and introduce the products according to the need.
Tesco also analyses the products of the competitors as it would help them in the launching it's
products after understanding the attributes of competitors product and make strategies to launch
the product to make the product successful and effective in the market.
Data play vital role in customer relationship management as it help organisation in understanding
needs and preference of consumer and help organisation in making changes and innovation in
their products and services according to need and wants of consumers. TESCO focuses on
implementing strategies to utilise data in understanding need of consumer and also help in
understanding level of satisfaction of consumer by their products and services. Feedback from
consumer for their products and services help TESCO in understanding the loop holes and also it
help in retaining existing consumer with organisation and engaging new consumer with
organisation. TESCO uses data as method to gain market share and maintain brand image of
organisation in market which helps them in achieving competitor advantage over their
competitors and also assist in maintaining effective relationship with their consumers.
Targeted audience and how to expand the business.
everyone out there in the market want to expand their business worldwide and they want
to conquer a large customer base so that they can easily gain a good market share and have
competitive advantage. For doing this they have to monitor various changes that are happening
all over the world through this they will also be able to know the likes and dislikes of the target
audience and in today world if a company is planning to expand themselves they have have to
digitalize themselves (Melchior, 2017). For this purpose TESCO have also digitalize themselves
a long ago and this is the reason that they are on the top of retail chain market in UK. Only with
the process of digitalizing themselves they were able to gain this position. For expanding further

they are4 suggested to target a specific audience and with that they should also know about their
like and their dislikes.
For this the best target audiences are the millennium and the gen Z. these two generation
are the one who is mostly using the digital media for the purpose of purchasing and for th
purpose of availing the services. In the coming future the gen are the one that is going to rule are
that is going to prevail everywhere. They will also be the one that will shape the future and as it
is said that the customer is the king of the market and if any enterprise doesn't look for there like
and dislikes then they are most likely to make them outdated. By this in the near future they will
only see a fall in their performance. What today audience want is that they should be provided
with the service and the product at the place that they want and they should also want it it at the
required time (Neeli, 2020). For this purpose TESCO have also digitalize themselves they are
providing their service to the customer online. With one click they are providing the service to
the customer at their door steps.
This are all for the Gen Z but for the millennials they should also provide it with various
attractive offers and they should provide their service at various price range. As the millennials
are the one that are in majority around the world they are the one that will suggest the gen Z
about TESCO they are the one who will influence the decision making of the gen Z. Although
TESCO are doing proper research about the target audience but they are also not looking that
forward into the future and for this purpose there are various things that they can do to help them
make innovations and d0o some creativity for the targeted audience for the target audience.
Some of the suggestion are as follow :
 Continue customer engagement – TESCO should make sure that they are having
continuous engagement with the customers and that they are solving various queries of
their customer. A good way to satisfy the customer is by solving any query that they are
having and they can also be in regular touch with the customer. Once the customer shops
form them they should provide the customer with various information about the new
product in the social media platforms and they should also provide the customers with
attractive offers that they can avail once the customer shop from them (Sanjeev, 2017).
 Contact less engagement – during the pandemic it was seen that the sales or the turnover
of the TESCO was shooting up and it was all due to the fact they were serving their
customer with contactless delivery. During that time although they were accepting the

payment online while delivering the product or service but now they should also
encourage the customer on having more and more payment through the online sources
and for this what they can do is provide the customers ith the cashback offers and other
benefits of making payment through online sources. By showing or by propagandise that
they are promoting the online payment, this will show that they are taking various action
or that thy are taking various measures that they can keep their Customers safe (Sharma
and Syam, 2018).
 Diversifying the product – initially they were only supplying those products which they
can deliver during that time that is that they were only supplying a short option with their
product range . Also during the pandemic they were only supplying the customer with
the basic necessity items that the customer will be needing during the lock down. But
after lock down hen everything is almost normal they are supplying a larger range of
product and all this products are also being sold by their competitors also an for this
reason they should widen their product range that they are supplying to the customers
through online sources and they should also widen the price range of the prices of th
comm0odity. Through this they will also be able to attract more and more customers.
Their are various item that earlier were not available for selling through online portal but
TESCO should make them available as it will help them in satisfying the needs of the
customer and though this they will also be able to gain the competitive advantage or its
competitors and the competitors of TESO will not be providing their services in that area
any recent (Sheridan, 2019).
TESCO should digitalize their service more and more, during the pandemic everyone was highly
afraid of any contact delivery and TESCO served their customers with the contactless delivery
they provided them this with the help of the internet social media and with the help of their

website and their app. They should also make some changes in their delivery time as the delivery
of the product that the customer ordered online was taking so much time and they were also
some item that are not meant to kept out for so long. As they are targeting the millennial and the
gen Z they have to increase the speed of their delivery because both the target group does not
want their products to be delivered late or to be damaged because of the late delivery. So
TESCO have to see and keep some of these things in mind.
Some recommendation
Although there are various various things that they were ding were ring but all this things
can also be made perfect through having some or the other addition that are done to them. These
can be very cr4ucial as theses changes can be made so that thye can also sustain themselves for
the future and for this what they can do is that they can make the following changes :
 engage with the employees – employees are the one that know a lot about the needs and
demands of the customer and they also know the what and in how shape do the customer
want the product or the service. Employees are the 9one that will be getting the order of
the customers online. They will also be the one that will be interacting with the customers
online and that they will be catering the customers with their needs. What TESCO can do
is that they can take suggestion form they employees on what changes that they can make
in their online portal or in their digital media. This will also help them in identifying
various gap and various shortfall in their digital marketing and after engaging with the
employees they will be able to correct or they will be able to rectify the shortfalls (Sleep,
Lam and Hulland, 2018).
 Look for review - TESCO should be continually looking for the suggestion that there
customer are suggesting and they should be able to apply the changes in their site for the
ease of the customer. While they are making the change this will show the customer that
their suggestion are valuable for them. This will help them in knowing what the customer
is expecting of them. For the review what they can do is that they consult various sites
which are providing the review about their services, they can also look for some cahnges
that the customer is suggesting to their competitors and they can make that changes and
can retain the customer from them. They can also provide the feedback form to the
customers after every service that they provide, though this they will get a clear idea on
how well the customer is most likely to come again or how great are the chances that the

customer will be promoting or ill be referring the brand to other customers. What
customer are looking is that they want a brand that is catering to all their needs and that is
providing them and that is showing them that they respect the need of the customer
(Soundar, 2020).
 Make changes in the physical stores also – when they are making changes in their site or
in their digital platform they should also make some changes in their physical store as all
this store are supplying the product in their online portals so if te customer is not
satisfied with the product that is being sold online then this means that they are not
satisfied with products that are in the store. So if they make note of the changes that the
customer suggested for the online store and make these changes in the physical store also
then it will means that they are giving respect to the ideas or to the suggestion regarding
some changes. Today what customer values the most is that their suggestion are being
taken and to be in use, so if TESCO really want to show that they are caring for their
customers then they have to also value the suggestion of the customer. The customer will
be happy if they see that the suggestion that they give is also being implemented in the
physical store, this will help TESCO in retaining their customers (Tieber, 2019).
 Reputation management – what their main goal for the process f digitalizing should be
that through this their reputation should also increase and for that they have to look for
bad reviews and they have to apply the principle of empathy. When having bad review
they have to see themselves in the shoes of the customer and they have to feel the
frustration that they will be experiencing with the bad service. With the application of the
principle of empathy they will know the drawbacks in their product and in their service
and they will be able rectify the mistakes and they will be able to increase their
reputation in the market. With every bad review that they answer they retain one
customer (Vaid, Ahearne and Krause, 2020).
 Active monitoring – today everyone wants that they should be able to us the latest
technology and that they can also make use of the latest trends and for that they should do
active monitoring. By active monitoring they will be able to monitor the latest trend in
the market and they will able to know the likes and the dislike of the customers. After
actively monitoring they will be able to know hat today customer wants and how can
TESCO provide them to this customer.

CONCLUSION
From the above report it is been found and concluded that the reason that TESCO is on
the top of the retail supermarket in UK is because of the practices of adapting themselves to the
change. TESCO is making full use of the digital media like internet, social media so that they
increase their customer engagement and that they can satisfy their customers. This report also
concludes about the various strategy that will have a impact on the targeting and the positioning
of the company. They can also increase their customer base with the help of active monitoring,
by looking for the review and by valuing their customers an the employees. As with the help of
the suggestion provide by the employees and the suggestion of the customer they can modify
their online portal and they can also implement them in the physical store.

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